Maybank Kim Eng is keeping its “negative” view on the offshore and marine sector following news earlier today that shareholders of Sete Brasil have opted for bankruptcy protection and put the application to the courts next week. The way analyst Yeak Chee Keong sees it, investors need to know what kind of restructuring plans will be made. “This may involve banks taking over the assets and liabilities and selling them to new investors. But more importantly, we need clarity on which contracts will remain intact, whether and how Keppel and Sembcorp Marine (SMM) would be paid,” writes Yeak in his Thursday note. Keppel Corp has US$4.9 billion ($6.6 billion) worth of contracts with Sete Brasil, while SMM has a larger outstanding amount of US$5.6 billion. “In our view, this overhang has not been completely removed and there are still uncertainties,” he adds. To date, Keppel and SMM have taken $230 million and $329 million in provisions for their exposure to Sete Brasil. Yeak believes further write-downs ......